Jobs report shows payrolls up 313000

Wall Street higher as Feb wage data allays inflation fears; Dow up 0.5%

Jobs report shows payrolls up 313000

The labor market is benefiting from strong domestic demand, an improvement in global growth as well as robust US business sentiment following the Trump administration's $1.5 trillion income tax cut package that come into effect in January. In February, average hourly earnings rose just 0.1% a month earlier, below economists' projections of 0.2% and January's 0.3% rise. The number of job seekers has stabilized in recent years, but last month showed a slight 0.3 percent increase from January.

The average hourly wage grew by 0.1 percent.

"This is more evidence that the Fed will need to hike four times this year, starting later this month", he said.

The focus of this report was wage growth.

That employment gain wasn't the only good news the report contained.

The commonwealth's rate remained above that of the United States, which also remained unchanged in January at 4.1 percent. The rate of inflation, which increased 1.7 percent over the past year, below the Federal Reserve's 2 percent goal, is expected to increase in the coming months.

The agency revised up job gains in December last year and January this year, with the job gains in these two months 54,000 more than previously reported. The dollar .DXY was largely unchanged against a basket of currencies.

Jobs report shows payrolls up 313000

The figures from the labor department smashed the 200,000 forecast from economists.

Markets likely will react badly to a further rise in wage growth, especially if pay gains reach 3%, according to Jim Paulsen, chief investment strategist at The Leuthold Group. "We'll see how long that can continue".

The Labor Department said on Thursday the rate of people filing for unemployment benefits in the week ending March 3 was up by 21,000 to 231,000, its highest level in six weeks.

The unemployment rate is at 4.1%, which is the lowest since December 2006 and also the same for five straight months.

We've been raising this caution for years: When the government talks about 100,000 jobs being created in a month, or even 200,000, it sounds like a lot.

Manufacturing added 31,000 jobs while retail and professional services added 50,000. The sector is being supported by strong domestic and global demand as well as a weaker dollar.

The U.S. stocks were traded higher after the strong job report. The number of employed people in the workforce rose by 785,000, according to the report. The increase in February nonfarm payrolls was the biggest since July 2016.

More news: Draymond Green more impressed with Pelicans' run than Rockets' win streak

Latest News